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This circuit is class-A that conducts a very high current all the time. Only the top transistor is driven with the signal, then it does not produce any crossover distortion. A class-B push-pull circuit produces crossover distortion because both transistors are driven with the signal.The diode would drop about the same voltage as the transistor Vbe and so helps in eliminating the crossover distortion that would otherwise be present in the output.